The success factors of circular entrepreneurship

Given the complexity of practice, this year we have explored several theories that can contribute to the development of an underlying Theory of Change. We spoke with ten scientists from various disciplines: transition theory, macroeconomics, innovation strategy, sustainable business models, market development, financial models, and consumer behavior. Each offered a unique perspective on the circular transition. We brought this group together to explore whether a joint methodology for developing the field of Circular Venture Building is possible.

Our observations

From our discussions and analyses, several key observations emerged. For the effective development of circular enterprises, integrating knowledge from fields such as innovation, financial models, and consumer psychology is essential. Circular enterprises can only be successful in well-functioning ecosystems. Collaboration and co-creation with various partners are crucial to realizing value.

Traditional linear business models are unsuitable for circular enterprises. New structures are needed to share risks and returns within circular chains. There is a need for new structures that can share risks and returns within circular chains. For instance, the financing model for circular enterprises must be approached differently, focusing on long-term and shared value creation instead of short-term profits.

Ultimately, the shift to a circular economy requires a broad societal change that affects not only businesses but also policymakers and consumers.

Next steps

In the fourth quarter of this year, we are organizing a conference to continue the dialogue on these important topics. We invite interested parties to participate in this discussion and thus contribute to the development of a sustainable circular economy. Please contact us to get involved.